Two former secretaries of state 'jump' from Angola's Sovereign Fund due to "complication" with the agency's PCA.

They are Alcides Safeca, former Secretary of State for the Treasury of the Ministry of Finance, and Laura Alcântara Monteiro, also former Secretary of State for the Economy, MPLA cadres loaned to the Government who preferred to go with their lives at Banco de Fomento Angola (BFA) as a way of avoiding fights in the management of the Fund.

Dário do Leste

Two former secretaries of state of the Government of Angola, namely Alcides Horácio Frederico Safeca and Laura Maria Pires Alcântara Monteiro, have decided to quit their positions as executive directors of the Sovereign Fund of Angola (FSDEA) due to a set of "fights" that take revenge by installing on the board of directors of that body. Carlos Alberto Lopes, former Minister of Finance and current PCA of the body, is pointed out as the "cause" of the 'struggles' that will have forced his Party 'comrades' to abandon the structure, Kieto Economia learned from a source familiar with the 'process' and from members of the board.

Due to the evolution of the confusion in which the three were involved, the MPLA cadres Alcides Safeca and Laura Monteiro asked the President of the Republic to leave the 'boat', with the MPLA board accommodating them in the current management structure of Banco de Fomento Angola (BFA), an institution that today hosts a large majority of former figureheads of the MPLA's governance or active policy.

Thus, and with the departure of these two heavyweights of the MPLA managers, the FSDEA is thus without two of its administrators, since, to fill the vacancy, it has to be the PR to appoint the new members of the administrative bodies of that body.

The fights in the structure of the FSDEA come at a time when the World Bank, through a report, states that without harmful management and withdrawal of funds for the PIIM the agency would be worth 6,500 million dollars today. 

But the initial investment policies, according to the World Bank, were poorly designed and worse implemented, while the management was marked by a lack of transparency and acts of corruption. Since 2016, the fund has accumulated a negative net result of 269 million USD, according to an article in Expansão, which cites the WB.

The report published in February this year once again uncovers the serious management problems and bad practices that have affected the Sovereign Fund of Angola (FSDEA) since its creation. In fact, if the management had adopted a conservative strategy, with the use of financial investments in the main international stock market indexes, the World Bank assures, the capitalization of the FSDEA would have risen from 5,000 million USD (the initial allocation) to 6,500 million USD. Thus, since 2012, the FSDEA has been decapitalized by about 2,900 million USD.

As a reference, the World Bank uses the S&P 500 index (which groups the largest assets listed on the New York Stock Exchange) to recall that the $5 billion allocated to the FSDEA would have reached $6 billion in June 2022, even "after replicating the withdrawals of funds that occurred in 2019 and 2020."

Two former secretaries of state 'jump' from Angola's Sovereign Fund due to "complication" with the agency's PCA

They are Alcides Safeca, former Secretary of State for the Treasury of the Ministry of Finance, and Laura Alcântara Monteiro, also former Secretary of State for the Economy, MPLA cadres loaned to the Government who preferred to go with their lives at Banco de Fomento Angola (BFA) as a way of avoiding fights in the management of the Fund.

Nov 30, 2023 - 08:59
Latest update   - 09:35
Two former secretaries of state 'jump' from Angola's Sovereign Fund due to "complication" with the agency's PCA
© Photography by: DR
Two former secretaries of state 'jump' from Angola's Sovereign Fund due to

Dário do Leste

Two former secretaries of state of the Government of Angola, namely Alcides Horácio Frederico Safeca and Laura Maria Pires Alcântara Monteiro, have decided to quit their positions as executive directors of the Sovereign Fund of Angola (FSDEA) due to a set of "fights" that take revenge by installing on the board of directors of that body. Carlos Alberto Lopes, former Minister of Finance and current PCA of the body, is pointed out as the "cause" of the 'struggles' that will have forced his Party 'comrades' to abandon the structure, Kieto Economia learned from a source familiar with the 'process' and from members of the board.

Due to the evolution of the confusion in which the three were involved, the MPLA cadres Alcides Safeca and Laura Monteiro asked the President of the Republic to leave the 'boat', with the MPLA board accommodating them in the current management structure of Banco de Fomento Angola (BFA), an institution that today hosts a large majority of former figureheads of the MPLA's governance or active policy.

Thus, and with the departure of these two heavyweights of the MPLA managers, the FSDEA is thus without two of its administrators, since, to fill the vacancy, it has to be the PR to appoint the new members of the administrative bodies of that body.

The fights in the structure of the FSDEA come at a time when the World Bank, through a report, states that without harmful management and withdrawal of funds for the PIIM the agency would be worth 6,500 million dollars today. 

But the initial investment policies, according to the World Bank, were poorly designed and worse implemented, while the management was marked by a lack of transparency and acts of corruption. Since 2016, the fund has accumulated a negative net result of 269 million USD, according to an article in Expansão, which cites the WB.

The report published in February this year once again uncovers the serious management problems and bad practices that have affected the Sovereign Fund of Angola (FSDEA) since its creation. In fact, if the management had adopted a conservative strategy, with the use of financial investments in the main international stock market indexes, the World Bank assures, the capitalization of the FSDEA would have risen from 5,000 million USD (the initial allocation) to 6,500 million USD. Thus, since 2012, the FSDEA has been decapitalized by about 2,900 million USD.

As a reference, the World Bank uses the S&P 500 index (which groups the largest assets listed on the New York Stock Exchange) to recall that the $5 billion allocated to the FSDEA would have reached $6 billion in June 2022, even "after replicating the withdrawals of funds that occurred in 2019 and 2020."